Apple mediates in labor abuse dispute

Foxconn has sued two journalists that reported the problems discovered at the …

In June, Apple received a heap of bad press when a report documented some of the shady labor practices of Foxconn, which runs the Chinese factory where iPods are manufactured. The information unearthed by a pair of Chinese investigative journalists did not paint a pretty picture, describing Dickensian conditions that ran afoul of Apple's supplier Code of Conduct.

The two journalists responsible for the article, Wang You and Weng Bao, were sued by Foxconn and have had their personal assets frozen by a Chinese court. Apple is now trying to intervene in the dispute between Foxconn and the two reporters, with company spokesperson Jill Tan confirming that "Apple is working behind the scenes to help resolve this issue."

After the embarrassing report came to light, Apple began an audit into Foxconn's labor practices. Its official report showed problems with an "overly complex" pay structure, some reports of "harsh treatment" at the hand of supervisors, and issues with some of the worker dormitories. Foxconn is now in the process of making changes to bring its facilities into compliance with Apple's Code of Conduct, including building more off-campus worker dorms.

Wang You and Weng Bao have the support of Reporters Without Borders, which has encouraged Apple to nudge Foxconn into dropping the suit, as well as the China Business News. In an open letter to Apple CEO Steve Jobs, Reporters Without Borders asked that Apple "intercede on behalf of these two journalists so that their assets are unfrozen and the lawsuit is dropped."

China Business News is publicly supporting the two, saying that the publication "will definitely back Wang You and Weng Bao since what they did was not a violation of any rules, laws or journalistic ethics."

For a company that is as image-conscious as Apple, the lawsuit against You and Bao marks another unwelcome blemish on its corporate face. Apple will likely continue to pressure Foxconn in an attempt to pop the pimple and put this whole sordid affair behind it.